that's all the money we have today. we will see you back here tomorrow. "the willis report" is coming up next. ♪ gerri: hello, everybody. i'm gerri willis. tonight, an in-depth look at housing, the state of the market and the opportunities that await , fires and investors. as you no doubt remember, on a rocky road after a bull market in which prices topped out in july 2005, median home values plummeted 32%. and some owners saw their prices cut in half. the worst is over.

median prices of 16%. home sales just hit a four year high. inventories are at their lowest level since 2006. foreclosures are declining. it has been a long, hard road for many families to consider their home their biggest investment, and 31 percent of us still owing more than our home is worth, you may be wondering how we can possibly see a silver lining in the housing market. you want more evidence? phoenix arizona, a market that was the poster child for housing problems. the overbuilt domination leading foreclosure, entire neighborhoods abandoned and in disrepair. today prices are up 25% so far, and on track to finish up 30%. to be sure that is not as big again as the decline, but the city is poised for real recovery the same story of recovery is playing out in miami, san francisco, san jose, seattle. big losers staging convincing turnaround. i think this may be the most important story of the year, and

not when you're likely to hear much about. the media likes to avoid good news headlines. the headline, if it were written, would be, housing is the best opportunity for americans with ready cash. a strong recovery, lower interest rates, low prices. how you can make out like a bandit. that's a right to it. all-star panel. and michael lawson, research and will -- analyst. welcome all. we will start with you. what do you make of this market -- market? bumping along the bottom? what is going on to mac. >> beyond. this recovery is for real, and that think it's going to surprise on the upside with its vigor.

there are all the signs of positive. inventories are down to six months. housing prices are up in all metropolitan areas, and the best thing is that supply is receding. pent-up demand is coming back. gerri: i like the sound of that. but you make some interesting points. you say is recovery could be more anemic than we expect because 27 percent of the buyers are investors. those the kinds of folks you might unload at any sign of weakness. help us understand your point. michael. michael, are you there? can you hear me? all right. we may have lost my cool. he will check. in the meantime, let's get to robert. you have some interesting comments in your pre interview. he said that the recovery as really been sluggish for home builders. how so? we hear that there is a lot of upbeat attitude among home builders, and receive stock

prices that are on fire. >> builder confidence is definitely up. in h-p, measure a builder confidence has been of the last six months, but housing starts, housing construction fell so much in the crisis years that is still has a lot of room to grow. some housing construction starts at about 870,000. 70 percent off of the bottom of the market. it's only about halfway to a normal market. gerri: a long way to go. that is why we're doing this special tonight. you don't want to wait until prices are at their highs to buy. let me get back to mike for one second. just try to bring u.n., having a little trouble with your isp. at think we have you now. the interesting thing you said in your pre interview struck me. this recovery could be weak because some many of the buyers are investors. explain? >> sure. we have to be concerned about the risk of what i call an echo bubble. we have a very high percentage of investors that are buying back into the market now simply because it is next to impossible

to generate income from anything else. treasury doesn't pay anything, bank accounts don't pay anything. investors are buying higher-yielding things like junk bonds to an even residential real estate property. we now have an investor market share about 27 percent of buyers according to the national association of realtors. really tight as been higher than that was in 2005 when it was 28 percent, and we all know what happened afterward. it is a chance to keep an eye on. it is a chance to keep an eye on. gerri: the stock and some of the things that could bring the market down that we might not be expecting. facing a fiscal cliff. a very big issue. one of the things that might come about of washington is maybe what we do is take away the mortgage deduction. is that a threat to the market? >> suddenly the fiscal cliff is the number one threat to the market. forget to recession, we are back into housing market crisis, no doubt about it. by the way, if we don't solve the fiscal problems going forward, we have an interest rates by kenaf future.

so out. gerri: we cannot win for trying. >> exactly 56 can't win either way. other people talk about the possibility of another recession . i guess you could call it a double dip. it does not feel like we ever get out of the last. do you see recession as a big threat to the housing market? >> not if that this booklet is handled properly. if we have a huge set of government spending cuts and tax increases, certainly a recession would be a problem for the housing market. on the other hand to mouth we have to be careful not to trade one set of tax hikes for another. you mentioned mortgage interest reduction. a huge mistake to limit the mortgage interest deduction upon when the housing market is providing growth for gdp. gerri: but it could happen. what would be the impact if the mortgage deduction were taken away, say, for everybody. what happened to the housing market? >> if it were taken away would have a huge impact on anyone that has to buy out the mortgage. gerri: how much with the mark to the housing market cut down.

and looking for facts and figures. the market down 30%, 15, or would it have any impact at all? >> it would have a huge impact on prices, 6% and 15%. you can pick your estimate, but an enormous impact on house of wealth. everyone% decline in house prices, 160 billion of household wealth. it would take a 6% to 8. gerri: i feel like we have not so much of already. to you. we talk of a lot about recovery, what could happen, what might forestall it. the elephant in the room is 31 percent of americans who are under water on their mortgage, no more than their house is worth, probably cannot get refinanced, sadly may not be buying additional real-estate. what would you say to those people? what would be aired next up? >> well, you look at where we are with mortgage rates cannot talk about a 30-year fixed loan. essentially an all-time record low, but only for people in a position to buy. they have the down payment

money, equity in there current home and can leverage that into the new property, or they're paying cash and emigre credit score. allow the people don't fit the bill simply because of the overhang we have from the housing bust. for those people i think he may have to be a little bit more patient. we're seeing home prices are to appreciate. the pace is modest. see percent nationally. certainly not what we get used to in the mid 2000's. it's going to take some time. gerri: the real world question that i get asked all the time. they tell me, i'm never going to buy real estate again. i got stung, burned, i don't believe in it. the housing market is never coming back, certainly not tasty does the six levels. what would you taste -- citizen the right that? >> they certainly should not have been buying for the sake of the gains that many were assuming or in the bag and could not help. on the other hand, at this point in time, if you need ten own or

rent, according is, depending on the market to more affordable than renting, and by the lake, killing up. gerri: that is a good point. to you. you're looking at the housing market every day. new houses, the pace and pattern of construction improving, picking up. will it become the nexus for a broader economic recovery jack really see housing picking up by before there is a really big boom in economic times. what is in your crystal ball? >> as we see an increase in housing, we know every house increased three -- jobs, the potential to help economic growth and has been 20% of economic growth in 2012. so as housing continues to build up, it's going to help the economy. inventories are low. we're ready to occupy and on construction, 40,000 units right now, so a lot of potential for growth. gerri: last word. as you look at into the next test of months, what do you see

in your crystal ball? >> again, as long as we avoid a serious fiscal cliff type crisis , we avoid a spike in interest rates, some of those challenges. i think housing continue to gradually recover with the caveat that we want to keep an eye on the investor activity. too much of money pouring into the market, we know that ultimately results in people pulling at money back out when conditions hour which is definitely a chance to keep an eye and. gerri: we will be telling people how to use that hot money and how to invest in housing. susan, robert, michael, thank you for coming in. fascinating conversation, great to hear all of your ideas and thoughts. thank you. and if you are fired up about this or have a house in question, write me an e-mail. gerri@foxbusiness.com. >> coming up on a special edition of "the willis report", americans are getting a better handle on their mortgage these days, but home buying is still secure than ever. the will of the find the best bang for your buck next.

should you buy a foreclosed on? it can be a great deal from buyers, but first, and other potential pitfalls. our housing expert is here to explain. and now the perfect time to buy that vacation home of your dreams. tips you don't want to miss later. also, the new craze, flooding homes. is it a good idea right now? the property ladder host tells us what you need to know as our housing special continues. we are on the case next on "the willis report." ♪

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that is really a -- attractive. there are people that i know, their first house was financed with 11 percent loan or 12% of. >> the early 80's. 808581. gerri: how meaningful is this the people who are shopping. >> of borrowing from money. there will never be a time in history where you will be able to borrow as low as you can right now. it is truly an impressive time to be able to jump into the housing market. gerri: that is the opportunity. really low mortgage rates. a great deal. but, can you qualify? the standards and that lenders are imposing, tougher than you might have seen for five years ago. tell me how difficult it is to get the really great non. >> the key is preparation. different than it was for five years ago. back then but you had to document, what you had to show the bank was very little. gerri: does much paperwork and analysis much. >> correct. now you have to do your diligence, verify improve your income, which was different for

five years ago. gerri: things that and bankers are asking for, i can't get over it. really. i mean, the details, the minutia , proving it beyond a shadow of a doubt, some of this and come that i think, well, even a couple of years ago you were not district. what has happened in the marketplace? >> it is all about the buyback. no bank wants to all something that they cannot sell the they cannot sell-off to fannie mae or freddie mac for fha. they want to be a "loaded, even if they don't have plans to do so, they want to have the security in knowing that they could. to do such you need to deal to provide the package set the secondary market is looking for, so you talked about the minutia. the estimate is, but if you try to make loans, you need to be able to doubt your eyes atrocities and everything. gerri: give me a tip on this. big, big, national banking community bank. >> it's more about a lot of this you're going with. the key is having someone accountable, but in doing what they're doing.

gerri: had no? >> elective for someone who will be referred to you. confined of a local realtor who then i recommend, an attorney. go into a local bank to do it like an interview. gerri: the key question to ask if average of your solyndra? know that they're going to be on my side. >> you want to speak to the past clients parisi what they have done. had they been there for five months are have they been there for five years? that is a key. gerri: everyone talks about the 30-year fixed-rate. but probably still people who want adjustable-rate mortgages, maybe they know for certain there will only be in the house for certain time. maybe people want interest on loans. what is available at the today? the whole range of product or our banks to scared of regulators to offer these products? >> everything for the most part is still out there. you have your fixed-rate

mortgages, adjustable rate that range from ten years with and about just all-time. also have interest only. traditionally, 30-year fixes such a grid now, the enticement to take that is greater than may be taking a 51 arm thrust a lower interest-rate knowing that in your six are seven that could mature and will go up six 1/7 years from now when you could have that 34%. gerri: it's going to go up. it can go away at. if we have a big recovery, i think you're looking at inflation, you're looking at higher interest rates. speaking of that, though, who gets that? is everybody offered that? >> the world gets close. traditionally it's assuming a couple of factors, somebody putting 25 percent down, assuming having credit scores of 740. there are a couple of factors and that they're going to drive that rate. but it's always going to come in

putting 20 percent down. a credit score of 680. amen and get 34, they get 35. it's going to be close, and if you look back, it's still very impressive. gerri: very impressive. thank you for coming on. appreciated. well, still to come, now that you have the money, what should you look for when you by the house? we will ask to of the nation's hottest religious. next, should you be buying a foreclosure? how is it different than buying a regular house and where should you be looking? answers at the break. ♪

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gerri: knocking tens of thousands of dollars, maybe more, of the price of your nextel's sounds appealing. a slew of foreclosed homes up for grabs that offers huge discounts. with more on where to find them and how to do it, executive vice presidents. always great to see you and have you on the show. thank you for coming in. here is what i want to know. foreclosure deals dwindling. september buyers got a 7% discount. that is down from 9% last year. mit late? have i missed it? >> there are still bargains to be had every tour across the country. and the discount numbers are relative. you're still going to find properties in a given market

that have considerably higher discounts. i think the folks probably among the most conservative in determining foreclosure discounts. so a lot of opportunity people looking for discount properties. gerri: this talk about the kinds of things you are thinking about you say star with sale price. hata analyze that? >> what you want to take a look at is your average cost per square foot. certaanly take a look at comparable properties in the area. for a lot of people that means working with a local realtor who can work through the market and show other properties that are more traditional, show them what other forces those reprises sold for. gerri: property condition is important, and a lot of people in the spending more on the house than they wanted because the property is not as in good a condition is the thought. hata make sure i am buying a house that a solid? >> love the benefits to buying a house that has been foreclosed on is you have a chance to

inspect it. we often encourage people to walk to the property this summer you can give them a working estimate of what it's going to cost to repair property and bring it up to liveable conditions. as one of the biggest decisions people make. the overestimate the value and underestimate dramatically how much it will cost to fix the property of the way they would like it. gerri: what we saw in the market, the worst of times, homeowners would get angry as they were leaving, damage to property and maybe in ways that you never expected and a difficult to find until you actually take possession. potential legal issues out there. >> there are potential legal issues. we have seen incidents where people have purchased foreclosed properties only to find out that the foreclosing entity did not actually have the right to foreclose. issues with paper work that had not followed the transaction to the history of the property, so you need to make sure that you have a clear title on the property, the title insurance,

again, do that kind of diligence because for most of us it is of very important financial investments we're making in our place to live. gerri: market trend, location. how analyze this? it can be disconcerting. >> we really strongly recommend that any first-time home buyer, anybody who is buying a foreclosure for the first time a particular work with an experienced realtor who thinks they can be taken through the paces. you want to look at things like school districts, things like crime trends, property values have stopped falling, which they have been a lot of markets we are starting to see prices come back. as a the kind of things you want to take a look get beyond just what the sale price of the property is. gerri: price can be important. other people make a decision on that factor alone. is the price low enough. you could use a very bad market. take a lead detroit, really down on its ear, a tough place to buy housing.

cheap, but do you really want to buy there? how do i decide whether low is too low. >> i was on a panel with a banker at properties in detroit and the offer to pay me $500 a ton to one of his hands. i think he was getting. but what you really want to look at, if you are a home buyer looking for a place to live, look around the neighborhood and ask yourself, is this problem of family to be. if you're an investor looking for property, look around and get an idea of what rental rates are, occupancy, is this a place that will require a lot of maintenance and care? again, foreclosures can represent a really good value, a really good deal, but you need to be an educated buyer, do your homework. gerri: one final question. we have been talking a lot about the fiscal cliff, and i think it is critically important for anyone in the housing market right now. you could see higher taxes, change the way you think a lot investing. you could find out that you are

really on the hook for more money. what are you telling people about that issue? >> you know, there are certain things we can control and certain things that we can't. the government could make some -- the government to make some disastrous decisions for the real-estate market like letting the -- letting expire the debt forgiveness act. mortgage tax deductions all sorts of things go wrong. would you care right now is, can you afford to buy property safely, are you in a relatively stable job? affordability levels are still at historically good numbers. is really a good time to be on the market if you can get the financing. you hope that saner heads prevail and we don't go off the fiscal cliff. gerri: if you're looking for opportunity in the housing market, right now is it. thanks. appreciate your time. thank you. >> my pleasure. gerri: is now the best time to buy that second home, the dream

vacation? next and joined by two of the hottest three letters in the country. what you need to know when putting your home on the market. advice on buying and selling next. having you ship my gifts couldn't be easier. well, having a ton of locations doesn't hurt. and my daughter loves the santa. oh, ah sir. that is a customer. let's not tell mom. [ male announcer ] break from the holiday stress. fedex office.

gerri: welcome back to a special edition of "the willis report." rebuilding the american dream. eating to the bottom of the most pressing issues facing americans in the housing market like trying to buy or sell your property. expert panel of three -- vehicles turning me now. the founder and ceo in seattle. and co-founder of the alexander group. welcome to you both. great to have you here. of start with you because you sold the most expensive house in miami ever recently. take a look at these pictures. it is a beautiful mansion that

went for $47 million from originally priced at 60 million command to bring it down to 52 and finally 47. for our viewers out there, maybe they're trying to sell and having to reprice. what is your advice? >> actually, it was originally priced at 52. because of all of the traffic we raise it to 60 in and reduced it back. that is where we get to our final price. gerri: this is considered a big success. what did you tell the sellers about moving the price around? with a happy with what they got? how did you come to us settle on that number? >> the seller realize that this was an irreplaceable piece of property. nothing like it in the market as well as they knew there was nothing coming to market in the next olivier's that can compare to this. gerri: especially a property is and what you bring to the market that no one else does. to you. on the west coast.

and now you do business all over the country. talk to me about what you're seeing. how is it different than anywhere else. housing prices stable, rising? >> we have been experiencing some really great news recently here on the west coast, particularly in some seattle. as a matter of fact, realtor dot com posted the third quarter top-10 turnaround markets and the country, and nine of them are on the west coast. seattle is number four. and coincidentally, seattle is the only city on that list that did not get absolutely slammed during the housing downturn, like california, nevada, arizona so we actually in october experienced a 16% year-over-year price increase which is the highest price increase that we have had for median single-family homes. gerri: that's good news. one of the selling tips. why don't you give us a buying

tips. out there, looking for property, trying to analyze the marketplace. how do you do it? what is the key to understanding what's going on? >> well, number one, you have to understand what is going on in your local market. here in seattle, we are experiencing really low inventory. there is not a lot of really great homes for sale. as a result, we are experiencing bidding wars, multiple offers situations, and so we're having to coach buyers on really jumping on that home that they like, coming to the table with a really strong offer, being three qualified ahead of time and be willing to pull the trigger. gerri: not everybody is dealing with a market where its multiple bidders, bidding war. to you. in miami. i know that market has been in recovery as doing better, but it might be exactly where you wanted to be. what do you do when you have a property you're trying to sell up there and position just the

right way to make sure you are appealing to the right people. dealing with a persnickety high-end crowd. >> the key to selling a property specifically for a record price is a great program. important that they have an international presence. most of the buyers, specifically in the high-end echoing from foreign markets. gerri: alllw buyers of the past couple of years that have been from foreign markets. we have been talking and then issue that want to bring a melon is interview which is the fiscal cliff and what is going on with housing visa the how our tax rates could change. you start us off. will that be a big issue where you are? what are you telling clients to back. >> i really do think that it will be a big issue. a giant concern, the uncertainty about what will happen the tax increases. the whole idea that we will lose that cap on a long-term capital gains will drive away, particularly a lot of investors.

and they have relief as a word a lot of the foreclosure properties across this country. it will push us toward a housing recovery. and so we need those buyers in the market to help keep the stable. i think right now, a sustainable reaa estate recovery is an absolute wild card. gerri: do you agree? >> well, i have seen a recent uptick in the past weeks as the election of sellers looking to a try to get rid of properties before year-end. gerri: you are seeing more people coming into the market because they're worried about that taxes are going to change? >> that's correct. gerri: how likely is it that you can download a properly defend property? >> i'm good at what i do, the fairly confident that with the fact that the market has some many buyers that are waiting to purchase these trophy properties that there is an opportunity to possibly another property. gerri: you think you can match them up, but that is a high-level task. clearly, even people at the high-end are concerned about what is going on the taxes right

now. >> that's correct. gerri: what are you advising people who are worried about this? tell people to unload property, by now? what is your basic device? >> well, i think it is an incredible time to buy regardless. for sellers it is a very different story. if they can sell, equity in the property, i strongly encourage them to sell and to sell now so that they don't deal with the long term tax implications. however, we have a major negative equity problem in this country. all other people need that forward momentum so that they can get out from under their mortgages. gerri: well put. i told you they were a white house panel. thank you for coming in tonight. appreciate it. good job. coming up, what you need to know if you're thinking of flipping house, and the perfect getaway, but sick of hotels. why now may be the best time to buy a second down, vacation home . coming up next.

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that vacation home. joining me now, a vacation rental industry expert and author of the book, how to read vacation properties. good to see you again. talking about him a first of all, is now a good time to buy? a lot of people are asking. they know it is all about. it can be all over the place. is it to or leave early? >> well, i think it's actually a pretty good time to buy. probably the time that we will look back can't in a few years and say, did not buy back in 2012. now the prices are going up. last year the prices decrease 19% of the previous year. significantly. so -- gerri: wait. 19 percent in a year? does not overseeing in the primary home market, not that volatile. prices don't move that fast. >> well, i just think we kind of

hit the bottom, in my opinion. that is when the bulk of the foreclosures finally, you know, hit the market. a lot of foreclosures were held up for a long time because it took a long time for the process to go through. now we are seeing the inventory decrease. we are seeing the prices start to increase a little bit. they aren't going up significantly at the mall but they are definitely starting to ease of. gerri: ties year than i expected. tell me about the market. identify some of them. we feel like we have the floor and the only direction is of. gerri: you know, there seems to be pockets of different states where the floor is there. you know, i could not make a broad statement and say florida's in the floor, but i do believe the gulf coast has. as you move a little bit further south, you know, the market is still a little hollow tile in south florida, but in the north

west portion of florida that is definitely getting to be a little bit more stable. and it tennessee is still a little unstable. you know, there are great foreclosures. prices are down. a great time to buy. going out west, lot of the markets out there are depressed because they kind of follow the housing market with a little bit of a lag. of course, once the primary housing market increases in the secondary home market we will increase. gerri: you are an expert because you own a lot of second homes, written about the market extensively. what kinds of factors, because you have done this repeatedly, what kind of factors should individuals who are trying to do this committee for the first time be thinking about? >> well, the first thing you have to think about is where you'll buy it. i recommend buying close to home, within the never ortable driving distance for you is because it makes it much

more manageable. the second thing you have to worry about is how you pay for it. in this environment mortgage rates are lo very difficult to get a mortgage these days for a second home. for instance, went to go by to properties last year, and i have really get credit in pretty good net worth. really difficult to obtain mortgages. i ended up paying cash for both of the properties. and 42 percent of the properties sold last year were paid for with cash in the second home market. so that tells you that the vast majority of buyers are coming in with cash. the people who are mortgaging, 70 percent of them but more than 20 percent down. even if you plan on getting a mortgage, your so going to have to have a significant cash position to be able to buy. gerri: serious, but the beauty is that you diversified investment portfolio, not just stocks and bonds.

now you're in real estate. home prices have dropped and dramatically so. and as you said, mortgage rates. it does not get any better than this. thanks for coming on. appreciate your time. thanks for educating us on this topic. >> thank you. gerri: is still to come, house flipping his back. the housing market in recovery, a cable-tv is chock full of house flippers. we are joined next.

gerri: house slippers made on average 30 grand per house. how you can get in on it.

gerri: welcome back to our housing special. great opportunity for investors and nation is recovering house market through house flipping. that is what my next guest says. is it right for you? the host of property ladder. an expert on flipping. you know, when we used to talk about this all the time. there is your book. flipping confidential. and what we used to talk about this all the time and people were excited to do this. i did not think anything about it until i saw two numbers. this year the average made $30,000 on a single house in the taken only 106 days to do it. is it all that easy? >> it's not easy, and don't be fooled. renovating property for profit takes a lot of hard work and you need to know what you're doing. we work with clients on a regular basis. there is no one answer about how to do and what to do.

you need to check your motivation. find out why you want to do this gerri: the right motivation? what can a person does this work for? >> inventory and interest rates and interior design turns you one, maybe you are a great candid to put houses. gerri: and thinking it sounds pretty attractive, but it does take a lot of time in the have to have a lot of specialized knowledge. what are the critical fact that you need to locate that perfect house for flipping? >> i think it takes a team. you might fancy yourself an expert, but you need a good realtor, what the finances are in check out why you're doing this. tax benefits, diversify your portfolio, you want to get your interior design y'all out? figure out why you want to do it. if you need to invest money, it's a great place. if they're is a backup plan, you could always move in. gerri: i don't want to go there. less talk about the rest.

what is the potential downside? you got me all excited. if all goes wrong, what could i be facing? >> well, i think your stats are accurate. one hundred days is the optimum for a successful flip, facing the potential of long carrying cost. you don't want to flip the house, but a ton of money into it, get emotionally attached to it and not have itself. vr biehl, a vacation rental, keep it as a second home, move your mother-in-law and so she does not ruin your hard work. holding power to keep feeding the beast. you need to look good options. gerri: step one, two, three. how do i get started? >> find a good realtor or become one yourself. did your finger on the pulse of your local real-estate market. there is opportunity everywhere, the stick to your own backyard. if you're going to spend profit on gas or flights commuting to me you're wasting money. gerri: that smart. anything special about the marketplace right now that

people need to know about? >> i think it is always there. the opportunity is there. now bat houses. look for a really good house under the scrutiny of inspection so that you know what you are buying. one of the steps going to be? what is the budget really going to be? gerri: well, if i did do that probably would. >> it has to be five because there are sudden tears. gerri: appreciate your time. well, back with a vengeance, but the best places to do this? the answer is tonight's top five. number five, omaha, nebraska. house slippers made more than

$71,000 in profits last year. the volume more than doubled. number four, washington d.c. demand for houses is rising leading to nearly two dozen towns flipped in 2012. oxnard, california. one in every two homes is in foreclosure making them ripe for house flipping. lake have a sues city. i hope i pronounced that right. gross profits topped $87,000. imagine that. the number one city to the clubhouse and, right here, new york city. unbelievable. if you can afford to my house flippers are making profits of more than $118,000. a boy, did they have to have a lot of skin in the game. we will be right back with my "2 cents more." stay with us. [ male announcer ] how do you trade? with scottrader streang quotes, any way you want.

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gerri: finally, housing may be the silver lining in this this y has been looking for. true, another recession or the removal of major housing tax breaks could delay or postpone this recovery. the potential it is pretty awesome. that does not mean easy. if i learned anything this hour, and i've written two bookk on the topic and i learned things, getting a good deal requires doing homework and being unafraid to peel back the layers and investigate. you need a strong stomach to negotiate, but the payouts can be big. the secret to investing in any market is buying right, get in at the price that is opportunistic and that is just the opportunity that's today's market offers. my guess is several years from now many of us will be scratching our heads and wondering why we didn't get into the housing market when we had the opportunity. if i can leave you with one number